Court Approves General Maritime’s Reorganization Plan

U.S. Bankruptcy Judge Martin Glenn of the U.S. Bankruptcy Court in the Southern District of New York has approved General Maritime’s plan to emerge from bankruptcy protection controlled by Oaktree Capital Management, the company’s lender.

The plan was “tweaked” two months ago because unsecured creditors said they were being treated unfairly, a Dow Jones Daily Bankruptcy Review article said.

Under the plan, Oaktree will make a $175 million equity investment in General Maritime in exchange for all of the company’s stock after it reorganizes. The plan will decrease the company’s debt by 40%.